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05<br />
Ensure an efficient liberalisation of the domestic passenger<br />
markets whilst clarifying the relation between infrastructure<br />
management and railway operators, and the attribution of<br />
public service contracts under competitive conditions.<br />
2.5. FTA negotiations with Japan<br />
On 29 November 2012, the European Foreign Affairs Council (Trade) decided to<br />
give the European Commission ‘the green light’ to negotiate a Free Trade Agreement<br />
(FTA) with Japan. UNIFE welcomes the opening of the negotiations, even<br />
though immediate steps could already be taken to open the Japanese rail market.<br />
Despite the efforts made by the European Commission and the rail industry in<br />
the past four years, no significant steps have been taken so far by the Japanese<br />
government and operators to improve access to public procurement in the<br />
railway sector. This contrasts with the situation in Europe, where Japanese rail<br />
suppliers have access to the market and were indeed awarded major contracts.<br />
Whilst the launch of FTA negotiations is a significant opportunity to remedy to<br />
this situation, UNIFE considers that, as far as railway is concerned, immediate<br />
steps to open their rail market could be taken by the Japanese authorities, in<br />
line with the EU-Japan exchange of letters on railway procurement signed in<br />
December 2011.<br />
In particular, UNIFE would like to stress the following points:<br />
01<br />
The Japanese government should take immediate steps to ensure<br />
that European suppliers get a comparable and effective<br />
access to the Japanese market; these steps, which should include<br />
concrete business opportunities for European suppliers,<br />
should be carefully reviewed after one year of negotiations;<br />
02<br />
The Operational Safety Clause, if not completely removed,<br />
should be applied in a transparent, predictable, and non-discriminatory<br />
manner;<br />
The three JRs, which represent the major share of the Japa-<br />
12